1325 Herkimer Condominium (The Hill)

Amendment 6 Nov 5, 2021

This Sixth Amendment adds a two-year sales incentive that pays about half of the real estate taxes on certain unsold homes, updates how state transfer and mansion taxes are calculated after a 2021 tax law change, and adds a federal money-laundering reporting disclosure.

• Sponsor pays approximately fifty percent (50%) of real estate taxes for unsold units bought by Qualifying Purchasers on or after the Filing Date of this Amendment, for two (2) years from closing of title
• Qualifying Purchasers must sign a Purchase Agreement at a Purchase Price not lower than the price in the then-current Schedule A, with the deposit consistent with the Plan's required percentage
• Subsidy amount is based on the monthly real estate taxes posted to the Department of Finance website for the taxable period current at the Purchase Agreement date, is fixed, and is not adjusted if taxes later rise or fall
• Sponsor may withdraw the Sales Incentive Program at any time by a duly filed amendment, but withdrawal does not affect purchasers who signed a Purchase Agreement before it
• New York State Tax Law Section 1404(a) amended effective July 1, 2021; for Purchase Agreements entered into after April 1, 2021, State Transfer Tax and Mansion Tax are calculated after adding RPT Tax and Sponsor Closing Fees, but not State Transfer Tax, to the Purchase Price
• RPT Tax 'bulking up' calculation for RPT Tax is unchanged
• FinCEN Geographic Targeting Order reporting threshold is $300,000 at the Filing Date of this Amendment, and the order currently remains in effect until October 31, 2021, subject to extension
• Purchasers paying without bank financing in a covered transaction must deliver required documents to the title company at closing; failure is an Event of Default under the Purchase Agreement

Amendment 5 Dec 7, 2020

This Fifth Amendment offers the unsold units at the Schedule A prices, updates the sponsor's unsold-unit, board and financial disclosures, and extends the term of the Plan.

• Unsold units offered at Schedule A prices, e.g. Unit 101 at $749,000 and Unit 506 at $449,000; parking spaces at $30,000 each
• Term of the Plan extended
• Sponsor reports 16 units sold and 16 unsold as of December 1, 2020; no unsold units encumbered by a mortgage
• Board members listed as Scott Kushnick (President), Ayelet Naim-Levanon (Vice President) and Ohad Lev (Secretary/Treasurer), all affiliated with Sponsor
• Sponsor control of the Board ends at the earliest of the fifth anniversary of the First Closing, closing of title to all Units, or Sponsor's election to relinquish
• First Year audited financial statements not yet available; purchasers advised to ask the Managing Agent
• Working Capital Account of approximately $33,310 on deposit at Chase Bank as of December 1, 2020
• Permanent Certificate of Occupancy attached as Exhibit B

Amendment 4 Jun 15, 2020

This Fourth Amendment offers the unsold units at the Schedule A prices, updates the sponsor's unsold-unit, loan, board and reserve information as of June 1, 2020, and extends the term of the Plan.

• Unsold units offered for sale at the Schedule A prices, e.g. Unit 101 at $749,000 and Unit 506 at $449,000
• Term of the Plan extended
• Sponsor has sold 11 Units; 21 Units remain unsold (as of June 1, 2020)
• Sponsor loan with Israel Discount Bank: outstanding balance $1,873,000, expiration date August 17, 2020, interest rate 5.18%
• Permanent Certificate of Occupancy anticipated within approximately 3 months of the Filing Date; $10,000 PCO Amount still held by Escrow Agent
• Working Capital Account of approximately $20,550 on deposit at Chase Bank (as of June 1, 2020)
• Board members (Scott Kushnick, Ayelet Naim-Levanon, Ohad Lev) are all affiliated with Sponsor, which controls the Board
• Audited first-year financial statements not yet available; First Closing took place December 5, 2019

Amendment 3 Jan 10, 2020

This Third Amendment reports that the First Closing for Unit 401 took place on December 5, 2019, names a new Selling Agent, and updates the sponsor's unsold-unit, loan, budget and certificate of occupancy information.

• First Closing took place December 5, 2019, for Unit 401
• New Selling Agent: Bracha New York at Keller Williams NYC
• Sponsor has sold 2 Units; 30 Units remain unsold
• Condominium budget certified through December 31, 2020
• Sponsor's loan from Israel Discount Bank of New York has an outstanding balance of $5,956,042 and expires February 17, 2020
• Sponsor deposited $10,000 in a Permanent Certificate of Occupancy escrow; permanent CO anticipated within about 3 months of the November 20, 2019 Architect's Opinion Letter
• Condominium Declaration recorded November 21, 2019
• Sponsor controls the Condominium Board and will relinquish control at the earliest of the fifth anniversary of the First Closing, closing of title to all Units, or the date the Sponsor elects